Nastech Pharmaceuticals announced it has developed a nasal spray that would reduce hunger cravings. Other things the same we would expect
a. the demand for existing shares of stock in this company to decrease, so the price would fall.
b. the demand for existing shares of stock in this company to increase, so the price would rise.
c. the supply of existing shares of stock in this company to decrease, so the price would fall.
d. the supply of existing shares of stock in this company to increase, so the price would rise.
b
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According to your authors, which action below clearly restricts competition?
A) A large firm raises its price. B) A large firm lowers its price. C) Government deregulates an industry. D) Antitrust legislation restricting other suppliers from entering into a market.
When an oligopoly is in a Nash equilibrium
A) firms have colluded to set their prices. B) firms will not behave as profit maximizers. C) a firm will not take into account the strategies of its rivals. D) a firm will choose its best pricing strategy, given the strategies that it observes other firms have taken.